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Awards, discounts, additional benefits. Do you like your benefits À la carte or buffet style? Effective solutions that you can use in your loyalty program

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Have you ever found yourself at your favourite restaurant and wondered what you want to order? So much so, that if it was possible you could order the entire menu? Well in today’s sphere of loyalty programs it’s very much the same. How so you ask? Let’s find out.

In today’s loyalty program paradigm (yes, there is such a thing), one of the most crucial factors that is constantly impressed upon is the option of giving your customers choice. Now whether you wish to create a loyalty program that is bare bones with little to no options, then you shouldn’t be surprised that it isn’t succeeding. That might be quite obvious, but some businesses and companies think that loyalty programs cost more than the actual profit they are meant to bring in. This is dead wrong, as the success of a loyalty program all comes down to the design, namely, the features, benefits and loyalty schemes that you implement. If you build something with a plan and consider all factors, then there is no reason you shouldn’t succeed.

When preparing your own loyalty program, you have to make many important decisions that will translate into its success. The first is the choice of mechanism, but more so the design which has to equate to a measurable outcome. Another, and very important for customers, is the selection of what you will offer as a reward within the program. Discounts, or maybe material prizes or redeemable points-for-purchase are just a few options that are available at this lunch stop. 

Creating real savings – an idea for a reward for loyal customers

A loyal, returning customer is a person who uses a specific type of service or buys a certain group of products on a regular basis. No wonder that your customers are always looking for opportunities that will be the most financially advantageous, where ever possible. Therefore, in many cases the rite of passage is to connect with your customers at this level by offering a discount on or rewardable options for these sorts of products. 

There are many possibilities of applying this type of system. It can be presented in the form of a rebate received for subsequent purchases, but also a permanent discount of a certain percentage that the customer receives. An interesting idea is to utilize it in a ‘points for purchase’ fashion – to make its amount dependent on the number of points collected. This ensures that the most valuable prizes are dedicated to the most faithful recipients. This also adds a minor gamification aspect which can also assist in your loyalty program.

This award idea can be implemented almost instantly into your already existing sales model. Thanks to this, customers will quickly see what opportunities participation in the program offers which further drives interest. Receiving a discount after your first purchase or one of your first transactions upon joining the loyalty program is a mechanism that you should consider. Particularly when introducing new products into your repiotre.

Cashback also works similarly, allowing the customer to pay with accumulated points for a part of subsequent     purchases or a service. By deciding on these possible solutions, you also build a relationship with the recipient, showing them the value of being a member at the very beginning of his journey. By this course of action you motivate and encourage your customers to use the services of your company. Not a bad way to start this dinner. 

Favourite products or awards – something to entice your customers further

Discount mechanisms are just one of the available solutions in the vast spectrum of loyalty programs. Another mechanism to consider is the catalog of products that can be earned for a specific pool of points. This redeemable points system also creates the avenue for you to be able to push certain products to the forefront, allowing the customers better access to products they might have overlooked. 

These offers can be different – from solid and proven products of your brand, through new products, to other offers that you do not sell on a daily basis. As part of the catalog, you can allow the customer to use the collected pool of points faster, or encourage them to collect them over a longer period of time. You can achieve this by varying the rewards and point thresholds necessary to earn them. You also have the option of creating catalogs and special offers, dedicated in a given period or at the time of launching a given service or product for sale. 

You can also combine the described mechanisms. We used this solution during the implementation for THE BODY SHOP. By collecting points, the customer is able to exchange them for cosmetics or coupons, which allows them to make purchases at a price that is more favorable to the customer, but also exposing them to products in price ranges that they are not accustomed to. Not bad for an entree? 

Don’t forget about additional solutions for loyal customers

Being part of a loyalty program shouldn’t just be rewards given for collecting a certain number of points. After all, a program participant is your regular customer or a person who wants to become one. There are always other ways to make your customers feel special and a part of something, It is worth considering additional solutions that can be of service.

If you have an application dedicated to a loyalty program, make sure that it becomes an additional and fast information channel. This can not be overstated enough as this creates a direct connection with your customer. Processes such as allowing the customer to efficiently return items or raising queries – something we implemented with BRIJU in our domestic market. Perhaps the customer will not use these options but it provides a piece of mind. It is important to feel that in case of any problems, they have additional care and support from the brand. Also sharing the history of purchases made in one place adds an extra ability for the customer to track their purchases over a given period of time. These are seemingly small changes and facilitations that can positively affect the comfort of using your company’s services. 

Also, consider how you can strengthen your customers’ sense of uniqueness. Perhaps early access to sales or promotions can provide a special sense of exclusivity for your customers. You can also prepare special offers, available only to program participants. Furthermore, you can present by which mechanism your customers wish to be rewarded.

We mentioned previously about how creating communication channels is of paramount importance. Don’t forget about communication! Regularly maintain contact with your loyal customers, make sure that they have a constant flow of information and are always informed about upcoming offers or actions on time. This is another aspect that will be vital in the success of your program. A well-conducted dialogue with your customer base can be an advantage of your loyalty program. I know the main course was great, but did you leave room for dessert? 

Throughout this delicious meal of benefits today I can see, there are several solutions and each of them is worth considering. Each of them have their own merits and applications which can be adhered to by any sort of business. Are you wondering what will work for your business? Contact us and our specialists will present you with this full buffet of choice. We will base our cooperation on the best options for you that will allow you to achieve the best KPIs and success for your program.

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